I have a client who is a minister and lives in a home on the church grounds ("parsonage"). The church provides this home to him and his family while he provides ministerial services to the church. The church also pays for the utilities. 

I am preparing his 2020 tax return. His salary is $35,000. The fair rental value of the parsonage plus utilities is $15,000. I know that the $35,000 is subject to Federal/State income tax as well as "SECA" tax.

Is the $15,000 excludable from Federal/State tax? That's my main question here. (I know it's subject to SECA tax).